Unemployed Youth Employment Generation Programme

Unemployed Youth Employment Generation Programme (UYEGP)

The Government of Tamil Nadu has launched the “Unemployed Youth Employment Generation Programme (UYEGP)” through its Micro, Small and Medium Enterprises Department. This initiative focuses on alleviating unemployment among the socially and economically disadvantaged sections of society, especially targeting educated and unemployed youth. By facilitating self-employment opportunities, the program aims to empower the youth to establish their own Manufacturing, Service, or Business enterprises, with financial support in the form of loans and subsidies.

Overview of the Scheme

The UYEGP is designed to encourage young individuals to become entrepreneurs by providing them with access to loans of up to ₹15 Lakhs for manufacturing projects and ₹5 Lakhs for service or trading projects. Additionally, the State Government offers a subsidy of 25% on the project cost, with a maximum cap of ₹2.50 Lakhs. The primary goal of this program is to support marginalized youth in their journey towards entrepreneurship.

Key Benefits

• Subsidy assistance up to 25% of the total project cost.
• Maximum subsidy limit of ₹2.50 Lakhs available for eligible applicants.
• Encouragement for self-employment through financial aid for setting up businesses.

Eligibility Criteria

• The applicant must be a permanent resident of Tamil Nadu.
• Minimum age requirement is 18 years:
  • General category: Maximum age of 35 years.
  • Special category (SC/ST/MBC/BC/Minorities/Ex-Servicemen/Differently abled/Transgender): Maximum age of 45 years.
• Applicants should have completed at least the 8th standard.
• Family income must not exceed ₹5 lakhs per annum.
• Applicant’s contribution is mandated at 10% of the project cost for General category and 5% for Special category.
• Completion of an Entrepreneurship Development Programme (EDP) is compulsory.
• The project cost must not exceed ₹15 Lakhs for manufacturing, and ₹5 Lakhs for service or trading projects.

Application Process

How to Apply Online

To apply for the UYEGP, follow these steps:

• Step 1: Visit the official website of the Micro, Small and Medium Enterprises Department, Government of Tamil Nadu to fill out the online application.
• Step 2: Click on “Apply Online” and then select “New Application” on the home page.
• Step 3: Register by providing your Name, Date of Birth, Email ID, Aadhaar Number, and Mobile Number.
• Step 4: After successful registration, log in and complete all mandatory details.
• Step 5: Upload all required documents and submit the application form.

Post-Application Steps

• Step 1: The District Industries Centre (DIC) will verify the eligibility of your online application.
• Step 2: You will receive a call letter to attend an interview.
• Step 3: Your loan application will be recommended to the bank for sanctioning.
• Step 4: You will receive a call letter for attending the EDP training session.
• Step 5: After completing the EDP training, submit your certificate along with other required documents to the bank.
• Step 6: Banks will disburse the loan after verifying the documents.
• Step 7: The DIC will handle the subsidy claim and deposit the subsidy amount under a Term Deposit Receipt (TDR) for three years. The subsidy will be adjusted against the loan amount after this period.

Official Source

For more information, visit myScheme.gov.in.